THE FINNISH ASSOCIATION FOR HRM – HENRY

PARE 7.11.2002

CHANGING EXPECTATIONS OF HRM:

A COMPARATIVE STUDY OF FINLAND AND ESTONIA

THE FINNISH ASSOCIATION FOR HRM – HENRY

THE CONCEPT OF MAN BEHIND HUMAN RESOURCE MANAGEMENT

• Man has a value himself, he is not only a resource

• HRM should take into account the different sides of a man and support the comprehensive growth of him

• Total wellness / well being should be an objective including

– professional condition

– physical condition

– mental condition

– social condition

– spiritual condition HRM 2010

P. Sydänmaanlakka

THE FINNISH ASSOCIATION FOR HRM – HENRY

WHAT IS HUMAN RESOURCES MANAGEMENT?

HRM is an approach to people management which is shared between

line managers and HR specialists and which emphasizes

- the importance of human resources as assets

- the strategic nature of human resource management as a process

which exists to enable the organization and its employees to achieve their objectives.

HRM 2010

P. Sydänmaanlakka

THE FINNISH ASSOCIATION FOR HRM – HENRY

PLAYERS IN HUMAN RESOURCE MANAGEMENT

SHAREHOLDERS THE BOARD

LINEMANAGEMENT

TOPMANAGEMENT

COMPETITORS

OUTSIDESERVICE

PROVIDERS

SOCIETYLABOURUNIONS

HR-FUNCTION

EMPLOYERASSOCIATIONS

MEDIA

SELF-SERVICE/EMPLOYEESHRM

HRM 2010

P. Sydänmaanlakka

THE FINNISH ASSOCIATION FOR HRM – HENRY

THE VISION FOR HUMAN RESOURCE MANAGEMENT

HRM CREATES, DEVELOPS AND MAINTAINS

• EFFICIENT ORGANISATIONS

in order that they are competitive

• LEARNING ORGANISATIONS

in order that they are successful also in the future

• WELLBEING ORGANISATIONS

in order that their employees are motivated and are able to work efficiently in long term PA CONSULTING GROUP

THE FINNISH ASSOCIATION FOR HRM – HENRY

Feedback is affected by the service level of the hr-function and the expectations of the line management

HR-function’s level of service in objective measures

organization A organization B

HR-function’s level of service in objective measures

Line management’s expectations

Line management’s expectations

BIG DIFFERENCE• expectations are not materialized• poor feedback

SMALL DIFFERENCE• expectations are

materialized• good feedback

PSYKO 2002

THE FINNISH ASSOCIATION FOR HRM – HENRY

THE DIFFERENT ROLES OF HR SPECIALIST

DOER

VISIONER

DOER

INNOVATOR

DEVELOPER

- expert in strategic management

- the basic provider of services

- developer of organisation and personnel

- expert in change management

is credible and convincing

VISIONER

HRM 2010

P. Sydänmaanlakka

THE FINNISH ASSOCIATION FOR HRM – HENRY

DOER

INNOVATOR

VISIONER

DEVELOPER

THE ROLES OF HR SPECIALIST

HRM 2010

P. Sydänmaanlakka

THE FINNISH ASSOCIATION FOR HRM – HENRY

THE ROLES AND TASK AREAS IN HRM

VISIONER

INNOVATOR

DEVELOPER

DOER

StrategicHRM

Organizationaldevelopment

Performancemanagement

Training &development

InductionRecruitment

Healthcare

Cooperativematters

HR proceduresand systems

Payroll andemployment

HRadministration

HRservices

Managementtraining HR-policies

CompetenceManagement

KnowledgeManageme

nt

Totalwellness

Feedbacksystems

Teammanagement

Managementsystems & processes

Managementconsulting

ValueManagement

HRM 2010

P. Sydänmaanlakka

THE FINNISH ASSOCIATION FOR HRM – HENRY

HOW HR FUNCTION DEVELOPED FROM ADMINISTRATOR TO TREND-SETTER?

1970 1980 1990 2000 2010

Adm.function

Servicefunction

Supportfunction

Steeringfunction

Trend-Setterfunction

We are adjusting people to work according to the needs of companies and markets

We are shaping companies / work communities according to needs of both people and company

HRM 2010

P. Sydänmaanlakka

THE FINNISH ASSOCIATION FOR HRM – HENRY

HR FEEDBACK 2002 FINLAND

LINE MANAGEMENT’S VIEWS (AVERAGES) (N= 340) (ON SCALE 1...7)

QUESTIONS CONCERNING HR OPERATIONS AND SERVICES

Rank Average Question and its number on the questionnaire

1 5.46 22 HR services (health care, wages, staff canteen)

2 5.23 29 Role of HR function in profit-making

3 5.22 27 Obtaining help in HR problems

4 5.13 19 Management services in employment relationship matters

5 4.82 24 HR function follows developments in its field

6 4.65 26 HR function constantly develops own operations

7 4.64 9 Maintaining/improving staff's working capacity

8 4.56 14 Developing appraisal discussion practices

9 4.55 28 HR supports business operations and strategy

10 4.46 5 Developing and training staff (overall estimate)

11 4.43 25 Monitoring organization atmosphere

12 4.40 23 HR information needed to plan operations

13 4.39 1 Recruiting services, support to line management

14 4.24 15 Supporting company value and culture development

15 4.21 21 Input in planning and implementing HR strategy

16 4.11 13 Developing managers' leadership skills

17 4.08 6 Supporting change and development projects

18 4.07 3 Staff induction

19 4.04 11 Developing the employer image

- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -

20 4.00 16 Supporting group and work community development

21 3.87 7 Developing information and competence management

22 3.81 2 Evaluating competences of key persons

23 3.73 12 Using IT in support of HR management

24 3.66 8 Defining competences for business operations

25 3.63 18 Supporting structural and systems development

26 3.56 20 Developing reward systems

27 3.55 17 Developing efficiency of management group(s)

28 3.46 4 Planning HR resources

29 3.12 10 Developing incentive packages for key persons

THE FINNISH ASSOCIATION FOR HRM – HENRY

HR FEEDBACK 2002 FINLAND

LINE MANAGEMENT’S VIEWS (AVERAGES) (N= 340) (ON SCALE 1...7)

QUESTIONS CONCERNING OVERALL HR DEVELOPMENTAT THE COMPANY/UNIT

Rank Average Question and its number on the questionnaire

1 5.37 54 Manager-subordinate appraisal discussions in use

2 4.59 35 Info about internal development and training

3 4.50 34 Development and training methods up-to-date

4 4.40 31 Development and training based on actual needs

5 4.40 32 Versatile development and training services

6 4.35 33 Recent development/training has desired results

7 4.35 45 HR development/training support business

8 4.28 39 Internal HR development and training available

9 4.26 40 Self-development promoted sufficiently

10 4.26 43 HR development/training support operat. develop.

11 4.20 36 Info about external development and training

12 4.06 44 HR development looks at long-term expertise needs

- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -

13 3.94 51 Evaluating staff expertise and its development

14 3.93 41 HR development/training planned with line mgmt.

15 3.92 37 HR development and training are cost-efficient

16 3.91 42 HR experts support line management in changes

17 3.89 30 HR development well-planned and persevering

18 3.88 38 On-the-job-learning in HR development

19 3.86 50 Plans are made for personal expertise develop.

20 3.83 46 HR develop./training take into account changes

21 3.60 48 Experienced persons used to train others

22 3.38 49 Compar. of experiences/learning from others used

23 3.35 47 HR develop./training results monitored/evaluated

24 3.19 52 Learning and developing competences are rewarded

25 3.11 53 E-learning sufficiently used for HR development

THE FINNISH ASSOCIATION FOR HRM – HENRY

HR FEEDBACK 2002 FINLAND

LINE MANAGEMENT’S VIEWS (AVERAGES) (N= 340) (ON SCALE 1...7)

QUESTIONS CONCERNING THE OPERATIONS AND EXPERTISEOF A PERSON WHO HAS REQUESTED FEEDBACK

Rank Average Question and its number on the questionnaire1 6.04 78 Is friendly2 5.88 82 Is reliable3 5.77 89 Answers messages and queries4 5.75 83 Listens during conversations5 5.73 73 Keeps promises6 5.71 100 Is excited about own work7 5.68 84 Easy to discuss about other than work issues8 5.60 77 Acts naturally in different situations9 5.57 98 Implements things as agreed10 5.47 75 In discussions, easily understands what I mean11 5.46 85 Presents matters in a clear manner12 5.45 90 Efficient use of time in meetings/phone 13 5.43 99 Presents matters convincingly14 5.42 76 Accepts feedback concerning his/her services15 5.33 74 Appreciates line management16 5.29 79 Knows about trends in HR and organiz. develop.17 5.28 72 Acts systematically and consistently18 5.25 107 Expertise/professional attitude in HR develop.19 5.25 87 Acts swiftly20 5.23 106 General manner of handling matters: : :35 4.78 57 Helps line management solve HR problems36 4.72 80 Plans incl. line org.'s expectations/needs 37 4.68 64 Introduces new ideas and viewpoints38 4.63 63 Informs managers of HR issues and developments39 4.53 67 Understands my unit's operations and problems40 4.48 55 Discusses work problems with line management41 4.42 93 Makes plans and decisions with line management42 4.38 94 Participates in implementing line org. changes43 4.34 96 Monitors changes in line organization's needs44 4.32 69 Keeps sufficiently in contact45 4.26 92 Introduces ideas concerning business development 46 4.24 58 Supports line mgmt. in changes/developments47 4.23 66 Finds out generally about staff's needs48 4.18 65 Finds out about needs of line mgmt./partners 49 4.07 62 Anticipates future sit. and needs of partners- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 50 4.00 59 Trains managers in HR issues51 4.00 56 Helps line mgmt. define HR development needs52 3.99 60 Discusses management experiences with line mgmt53 3.75 97 Evaluates line manag. activities/gives feedback54 3.59 61 Helps line mgmt. in planning business operations

THE FINNISH ASSOCIATION FOR HRM – HENRY

HR DEVELOPMENT

HR FEEDBACK 2 0 0 2 ESTONIA - F INLAND

4 .2

4 .4

4 .4

4 .3

4 .2

3 .7

4 .1

4 .3

3 .9

4 .4

4 .1

3 .7

2 . PERSEVERANCE

3 . EFF ICIENCY

4 . W ILL INGNESS TOCOOPERATE

5 . SELECTION

6 . PROMOTINGLEARNING

7 . SUPPLEMENTARYQUESTIONS

1 .0 2 .0 3 .0 4 .0 5 .0 6 .0 7 .0

Es ton ia n da ta F inn is h da ta

THE FINNISH ASSOCIATION FOR HRM – HENRY

HR EXPERT'S OWN OPERATIONS

HR F EEDBACK 2 0 0 2 EST ONIA - F INL AND

4 .9

5 .3

4 .9

4 .1

4 .0

4 .2

4 .7

5 .6

5 .0

5 .4

5 .1

5 .3

5 .7

5 .2

4 .7

4 .1

4 .5

4 .9

5 .7

5 .0

5 .4

5 .2

8 . IS OR IS NOTCONVINCING

9 . REL IABIL IT Y

1 0 . EF F ICIENCY

1 1 . INNOVAT IVENESS

1 2 . SUPPORT ING ANDT RAINING SUPERIORS

1 3 . W IL L INGNESST O COOPERAT E

1 4 . BUSINESS-CENT EREDNESS

1 5 . APPROACHABIL IT Y

1 6 . VERSAT IL IT Y

1 7 . AVAIL ABIL IT Y

1 8 . OVERAL LEVAL UAT ION

1 .0 2 .0 3 .0 4 .0 5 .0 6 .0 7 .0

Es to n ia n d a ta F in n is h d a ta

THE FINNISH ASSOCIATION FOR HRM – HENRY

HR FEEDBACK 2002 ESTONIA - FINLAND

ESTONIAN DATA COMPARED TO FINNISH DATA

QUESTIONS CONCERNING HR OPERATIONS AND SERVICES

(TOPMOST THE RELATIVE STRENGTHS, BOTTOMMOST THE RELATIVE WEAKNESSES):

Rank Diff. sign.

Question and its number on the questionnaire

1 3 Staff induction2 4 Planning HR resources3 12 Using IT in support of HR management4 17 Developing efficiency of management group(s)5 10 Developing incentive packages for key persons6 20 Developing reward systems7 23 HR information needed to plan operations8 2 Evaluating competences of key persons 9 8 Defining competences for business operations10 6 Supporting change and development projects11 13 Developing managers' leadership skills12 11 Developing the employer image 13 18 Supporting structural and systems develop.14 1 Recruiting services, support to line management15 7 Developing information and competence management

ABOVE THE LINE: EVALUATIONS SUPERIOR TO THE AVERAGE

BELOW THE LINE: EVALUATIONS INFERIOR TO THE AVERAGE

16 27 Obtaining help in HR problems17 28 HR supports business operations and strategy18 15 Supporting company value and culture develop.19 5 Developing and training staff (overall estimate)20 21 Input in planning and implementing HR strategy21 16 Supporting group and work community develop.22 25 Monitoring organization atmosphere23 24 HR function follows developments in its field24 14 Developing appraisal discussion practices25 19 Employment relationship management service26 26 HR function constantly develops own operations 27 9 Maintaining/improving staff's working capacity28 --- 22 HR services (health care, wages, staff canteen) 29 --- 29 Role of HR function in profit-making

THE FINNISH ASSOCIATION FOR HRM – HENRY

HR FEEDBACK 2002 ESTONIA - FINLAND

ESTONIAN DATA COMPARED TO FINNISH DATA

QUESTIONS CONCERNING OVERALL HR DEVELOPMENTAT THE COMPANY/UNIT

(TOPMOST THE RELATIVE STRENGTHS, BOTTOMMOST THE RELATIVE WEAKNESSES):

Rank Diff. sign.

Question and its number on the questionnaire

1 + 48 Experienced persons used to train others

2 49 Compar. of experiences/learning from others used3 41 HR development/training planned with line mgmt.4 47 HR develop./training results monitored/evaluated5 42 HR experts support line management in changes6 38 On-the-job-learning in HR development7 34 Development and training methods up-to-date8 37 HR development and training are cost-efficient9 46 HR develop./training take into account changes10 45 HR development/training support business&strat.11 44 HR develop. looks at long-term expertise needs12 39 Internal HR development and training available13 35 Info about internal development and training

ABOVE THE LINE: EVALUATIONS SUPERIOR TO THE AVERAGE

BELOW THE LINE: EVALUATIONS INFERIOR TO THE AVERAGE

14 52 Learning and developing competences are rewarded15 36 Info about external development and training16 30 HR development well-planned and persevering17 31 Development and training based on actual needs18 40 Self-development promoted sufficiently 19 43 HR development/training support operat. develop.20 33 Recent development/training has desired results21 51 Evaluating staff expertise and development needs22 53 E-learning sufficiently used for HR development23 32 Versatile development and training services24 - 54 Manager-subordinate appraisal discussions in use25 - 50 Plans are made for personal expertise develop.

THE FINNISH ASSOCIATION FOR HRM – HENRY

HR FEEDBACK 2002 ESTONIA - FINLAND

ESTONIAN DATA COMPARED TO FINNISH DATA

QUESTIONS CONCERNING THE OPERATIONS AND EXPERTISEOF A PERSON WHO HAS REQUESTED FEEDBACK

(TOPMOST THE RELATIVE STRENGTHS, BOTTOMMOST THE RELATIVE WEAKNESSES):

Rank Diff. sign.

Question and its number on the questionnaire

1 97 Evaluates line mgr's. activities/gives feedback

2 86 Easy to reach

3 69 Keeps sufficiently in contact

4 57 Helps line management solve HR problems

5 58 Supports line mgmt. in changes/developments

6 74 Appreciates line management

7 68 Understands company's/organization's operations8 59 Trains managers in HR issuesABOVE THE LINE: EVALUATIONS SUPERIOR TO THE AVERAGEBELOW THE LINE: EVALUATIONS INFERIOR TO THE AVERAGE

9 56 Helps line mgmt. define HR development needs

10 78 Is friendly

11 85 Presents matters in a clear manner

12 84 Easy to discuss about other than work issues

13 93 Makes plans and decisions with line management

14 103 Has versatile expertise

15 89 Answers messages and queries

16 96 Monitors changes in line organization's needs

17 80 Plans incl. line org.'s expectations/needs

18 75 In discussions, easily understands what I mean

19 67 Understands my unit's operations and problems

20 88 Easy to receive his/her help in difficult sit.: : :

34 104 Plans and suggestions are realistic and feasible

35 107 Expertise/professional attitude in HR develop.

36 61 Helps line mgmt. in planning business operations

37 79 Knows about trends in HR and organiz. develop.

38 73 Keeps promises

39 94 Participates in implementing line org. changes

40 76 Accepts feedback concerning his/her services

41 102 Tries new methods and practices

42 64 Introduces new ideas and viewpoints

43 65 Finds out about needs of line mgmt./partners

44 82 Is reliable

45 72 Acts systematically and consistently

46 95 Takes sufficient responsibility

47 60 Discusses management experiences with line mgmt

48 98 Implements things as agreed

49 - 81 Carries matters through with determination

50 - 66 Finds out generally about staff's needs

51 - 62 Anticipates future sit. and needs of partners

52 - 63 Informs managers of HR issues and developments

53 -- 71 Arrives well-prepd to discussions and meetings